Senate Joint Resolution No. 180 (Appendix I) established a Joint Subcommittee of the Senate and House of Delegates Finance Committees to examine State and local taxes placed on certain energy sources used for home heating and to determine whether the taxes placed on such necessities are equitable. The Joint Subcommittee limited its study to only those taxes which are passed directly through to the consumer. The taxes examined were the local consumer utility tax and the State retail sales and use tax. The local consumer utility tax is placed on gas and electricity consumption and the sales tax is levied on fuel oil, wood, coal and propane gas. Although the individual and corporate Income tax, State franchise tax, local business and professional occupational license tax, real and personal property tax and machinery and tools tax are all eventually passed on to the consumer through higher prices charged for the commodity purchased, the Subcommittee felt that the effect these taxes have on taxpayers was not contemplated by Senate Joint Resolution No. 180.

The Joint Subcommittee was composed of eight members, three of whom were appointed by the chairman of the Senate Finance Committee and five appointed by the chairman of the House of Delegates Finance Committee. Adelard L. Brault was elected chairman of the Joint Subcommittee and Claude W. Anderson served as vice-chairman. Other members were Senator Howard P. Anderson, Delegate Frederick H. Creekmore, Delegate George W. Jones, Delegate Norman Sisisky, Delegate Erwin S. Solomon, and Senator Stanley C. Walker.